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Promotion management in Danish grocery retailing

In the battle for market shares, it is essential that supermarkets can retain customers in the long term. To achieve this, they need to be able to execute advertising and pricing campaigns quickly and automatically. KPS helped the retail group implement the necessary SAP applications and accelerate its data processing with the aid of SAP HANA technology.

The challenge

The Danish company Dansk Supermarked operates numerous supermarkets, such as Netto and Bilka. In a fiercely competitive environment, the retail group had to strengthen its market presence and improve its online sales with personalized promotional offers. To achieve this, Dansk Supermarked needed rapid data processing to efficiently deploy functionalities such as automated planning of advertising campaigns and personalization of the customer shopping experience.

The solution

Dansk Supermarked is one of Europe’s first grocery retail chains to use the powerful in-memory data processing of SAP HANA. The retail group uses SAP for Retail as a basis in all its sales divisions. The SAP Customer Activity Repository application runs on SAP HANA.

The result is much faster automatic replenishment and, therefore, far quicker supplies of fresh produce to stores quicker business intelligence analyses, and improved promotion management with the help of the new SAP Promotion Management for Retail application.

SAP Promotion Management for Retail helps create offerings and prepare them for consumer advertising. It supports business units in advertising, marketing, merchandising, and administration.

The customer benefit

With the SAP solutions, Dansk Supermarked has the ideal means for using customer-specific sales information and creating attractive promotions according to customer segment, product category, and region. The group can also forecast the sales and margin that such advertising campaigns generate, and thus define more accurate financial targets. The analysis and simulation processes are seamlessly connected to one platform, reducing susceptibility to errors and time requirements, and making planning processes for marketing and promotions more efficient.